State Pension - can it be seized by creditors?

philly_001

Let's assume I have some UK debts for which CCJs had been issued. I have lived abroad for several years but will now be entitled to a UK State Pension.

Is it possible that my State Pension payments will be seized to pay my creditors? How could this happen exactly? What procedure do my creditors have to follow to get money from my State Pension payments?

sourcrates

There is no procedure in place, the state pension is payable every four weeks, and only to you, no one else can touch it.

Creditors can only obtain county court judgements against you, worst case scenario is bayliffs May be engaged to seize any assets you may have, they cannot raid your bank account or take money from source.

That pleasure is reserved for the likes of HMRC only.

Creditors actually have very few powers to take back what’s owed, only action through the county court is permissible.

philly_001

There is however a "third-party order" that allows the creditors to get what I owe from my bank accounts. Is there a similar court order that allows them to get payments from my State Pension?

Karonher

Are you already paying what a court has said? If so they may want a small amount extra if your income has increased, but likewise could want less if it is now reducing.

philly_001

I have not been paying anything. I live abroad and no one chased me here after my debts. Now I will claim my State Pension and wonder if my creditors can prevent me getting the payments

sourcrates

philly_001 wrote: »

I have not been paying anything. I live abroad and no one chased me here after my debts. Now I will claim my State Pension and wonder if my creditors can prevent me getting the payments

After 6 years of no contact, the debts will be subject to the Limitations act, and your creditors legal route to recourse will be withdrawn.


Even in bankruptcy your pension rights are protected, so unless you have a voluntary arrangement with creditors, they cannot touch your state pension or any private pension you may have.

tacpot12

philly_001 wrote: »

Let's assume I have some UK debts for which CCJs had been issued. I have lived abroad for several years but will now be entitled to a UK State Pension.

Is it possible that my State Pension payments will be seized to pay my creditors? How could this happen exactly? What procedure do my creditors have to follow to get money from my State Pension payments?

Would paying back the people you owe money to really be so bad?

philly_001

I thought that once the creditors obtain CCJs the 6-year rule does not apply and they can chase me forever.Is this correct?

sourcrates

philly_001 wrote: »

I thought that once the creditors obtain CCJs the 6-year rule does not apply and they can chase me forever.Is this correct?

Well you keep on moving the goal posts here, the full story would of been nice, however, been reading your other posts and it appears you are bankrupt, or going bankrupt, is that correct ?

Bankruptcy annuls county court judgements, judgements not subject to bankruptcy never go statute barred, however, a creditor is expected to exercise their rights within 6 years, if they do not, then they must go back to court and seek permission to further enforce a CCJ.

The court may decide either way, dependent on circumstances.

philly_001

I am not bankrupt. I am only asking what possibly could happen if I stop paying my debts

fatbelly

philly_001 wrote: »

There is however a "third-party order" that allows the creditors to get what I owe from my bank accounts. Is there a similar court order that allows them to get payments from my State Pension?

3rd party debt orders are extremely rare. They cannot be used to access someone's state pension.

philly_001 wrote: »

I have not been paying anything. I live abroad and no one chased me here after my debts. Now I will claim my State Pension and wonder if my creditors can prevent me getting the payments

No they can't

philly_001 wrote: »

I thought that once the creditors obtain CCJs the 6-year rule does not apply and they can chase me forever.Is this correct?

It's still a minority of debts that see court action. In most cases if someone moves abroad, that's the end of it. If they did get a ccj they would be expected to enforce it within 6 years